Reforms and spends in infrastructure and Government spends, which will benefit the economy on the whole, and also have a trickle-down effect on all other sectors
The Goods and Service Tax (GST), which can be an enabler to reduce costs being cascaded to every stage
Increased credit cost is a hindrance for growth. We would like to see measures to increase liquidity, specifically on Repo rate, CRR etc
On the currency side, rupee has been depreciating steeply, largely due to the high trade deficit on a monthly basis. The main users of foreign exchange are
Defence
Oil imports
Fertiliser raw materials
Gold
FII outflows
Among the above five, sizeable foreign exchange can be saved by strictly enforcing the offset obligations in defence procurement. Secondly, we can also save valuable foreign exchange by restricting indiscriminate import of gold.
On the fertiliser side, there are already positive moves to reduce subsidy substantially in the coming year. In order to further reduce fertiliser subsidy, the Government should consider increasing urea prices substantially. This would also bring back balanced user of fertilisers.
In the current environment, increase in excise duties will not be appropriate as the manufacturing industry is already impacted by increased input costs from raw material and power.
A comprehensive decontrol policy for the sugar industry, removing the levy quota and exempting Service Tax in agricultural services would be helpful. A tax incentive or holiday could be considered for ethanol and power coming out of cogeneration.
The Service Tax, VAT and other indirect taxation provisions for the Construction sector needs a complete overhaul across all States. There should be uniformity in taxes and the procedures made much simple.
Caution Notice
The public is hereby cautioned that it has been brought to our notice that certain unscrupulous persons/agencies are issuing fake sanction letters to customers and getting their signatures in fake loan agreements purporting to be a loan sanction letter & loan agreement of Murugappa Group and such persons /agencies are attempting to extort money by demanding security deposit/processing fee/insurance fee from the gullible customers for processing the required loan etc. In the aforesaid documents, those unscrupulous persons/agencies are also using the registered logo and name of Murugappa Group against law with intent to gain wrongfully by using the goodwill and reputation of the Group.
Please be informed that Murugappa Group is not a separate legal entity and never requires any customers to pay any advance money or deposit for loan sanctioning. Public is cautioned not to rely or act on any such fraudulent sanction/offer made in the name of Murugappa Group without verifying the authenticity of the contents.
Customers who are interested in availing loans may directly contact any of the nearest branch of Cholamandalam Investment and Finance Company Limited (Cholamandalam) a constituent of our group for further details or get in touch with us at 1800 200 4565 or alternatively email at customercare@chola.murugappa.com, or SMS at 9500000312.
MURUGAPPA GROUP